The restaurant industry is projected to reach $1.5 trillion in sales and add over 200,000 new jobs in 2025, according to the National Restaurant Association's latest report. This growth will increase total employment in the sector to 15.9 million by the end of the year.
Restaurant operators express cautious optimism about business conditions, with more than 80% expecting their sales in 2025 to be equal to or higher than those in 2024. However, competition is anticipated to remain intense.
The industry continues to offer employment opportunities, adding approximately 200,000 new jobs and maintaining its position as the second-largest private-sector employer in the U.S.
Consumer demand for dining out remains strong across various segments. Many consumers indicate they would frequent restaurants more often if financial circumstances allowed, highlighting a significant potential market for both on-premises dining and food delivery services.
Operators are focused on increasing foot traffic and encouraging diners back into their establishments. This priority is particularly emphasized by fine dining (90%) and casual dining (87%) operators.
Despite these positive trends, challenges such as rising labor and food costs persist from previous years. "The fundamentals of the restaurant industry are strong," said Michelle Korsmo, President & CEO of the National Restaurant Association. She noted that industry sales are expected to grow by over four percent this year while employment nears 16 million jobs.
In 2025, consumer perceptions of value extend beyond pricing to include experience and hospitality. The report suggests that creating welcoming environments is crucial for attracting diners.
Additionally, innovative dining experiences like tasting events and cooking classes are gaining popularity among consumers seeking more than just meals from restaurants.
Loyalty programs continue to play a significant role in attracting customers. A majority of operators with such programs report increased customer traffic due to these initiatives.
While there is a focus on increasing in-person dining, off-premises options like takeout and delivery remain vital, especially among younger demographics who value convenience and flexibility.
"Ninety percent of people enjoy going to restaurants," Korsmo stated. "Operators are adapting to meet today's consumers' wants and needs with an eye on economic pressures."
For further insights, readers can access the full report supported by Sage through the provided link.